Fed in Print
All Title Author Abstract
Bank Series Content Type Author JEL Classification

Discussion Paper

Evaluating Empirical Regularities in Variable Comovement in Stress Test Scenarios


Abstract: Each year, the Federal Reserve Board conducts a stress test of large banks to assess their ability to withstand economic downturns while continuing to lend and meet their obligations. These stress tests include severely adverse scenarios which feature 13-quarter paths of key macroeconomic and financial variables that factor into the calculation of projected capital losses of the stress-tested institutions.

https://doi.org/10.17016/2380-7172.3885

Access Documents

File(s): File format is text/html https://www.federalreserve.gov/econres/notes/feds-notes/evaluating-empirical-regularities-in-variable-comovement-in-stress-test-scenarios-20250919.html

Authors

Bibliographic Information

Provider: Board of Governors of the Federal Reserve System (U.S.)

Part of Series: FEDS Notes

Publication Date: 2025-09-19

Number: 2025-09-19-1